Zambia’s inflation fell to 12.6% in August from 13% in July, its lowest in almost two years, as the kwacha strengthened 19% YTD on higher copper prices. Food inflation eased to 14.9% and non-food to 9.3%. The gap between the 14.5% policy rate and inflation widened to a six-year high, and policymakers signaled a possible rate cut in November.